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Premier League fails to close Chelsea PSR loophole
West London club ‘profited’ from selling hotels and their own women’s team to sister company to ensure they complied with financial rulesMartyn Ziegler
, Chief Sports Reporter
Wednesday June 04 2025, 4.30pm, The Times
Chelsea Football Club
Premier League
Football
Chelsea Women were valued at £200m when sold to a sister company of the club
SHUTTERSTOCK EDITORIAL
The Premier League has failed in its bid to prevent clubs selling assets to sister companies in order to comply with its Profitability and Sustainability Rules (PSR).
A proposal to close the loophole that has allowed Chelsea to register a “profit” from selling hotels, and their own women’s team, to a sister company did not even go to a vote at the Premier League’s annual meeting, which took place near Harrogate. The proposal came after requests from some clubs.
Sources said it became clear even on Tuesday that there was not enough support in the room for the proposal and so it was not put to a vote on Wednesday. It would have needed 14 of the 20 clubs to vote in favour to allow the rule change to be passed.
Some clubs felt that to change the rules now would be “closing the stable door after the horse had bolted”, one club executive told The Times, and that as Chelsea had benefited from the loophole, others should be allowed to do the same.
There was also concern that it would prevent clubs earning revenues from selling assets such as property to unrelated parties.
PSR will remain in place next season without significant changes. It had originally been envisaged that the rules would be replaced with a new cost control system but the legal challenge by Manchester City against Associated Party Transaction rules — which will be heard by an arbitration tribunal in October — led clubs to decide in February to keep PSR for at least another year.
It means limits will remain on the amount of money clubs can lose. The maximum loss is £105million over three seasons, but spending on infrastructure, youth and women’s football is exempted.
Manchester United, Newcastle United and Aston Villa are among the clubs that have cited PSR as a reason for being constrained in the transfer market.
Chelsea sold their all-conquering women’s team to a sister company for a stated £200million — though the value of the deal has yet to be approved by the Premier League — and two hotels for £70.5million. The deals have helped the club comply with PSR over the past two seasons.
Uefa does not accept the sale of assets to sister companies as income and Chelsea is in talks with the European governing body over a financial settlement for breaching its financial rules, which limit losses a club can make, and the amount it can spend on players’ wages, transfers and agents fees in relation to its revenue.

